Cofece Flags Competition Concerns in Mexico’s E-Commerce Market

Mexico’s antitrust authority, Cofece, announced that its investigation into the country’s e-commerce sector uncovered barriers to competition affecting sellers on Amazon and MercadoLibre. Despite the findings, the commission was unable to reach a consensus on imposing corrective measures against the companies.

According to Cofece, both Amazon and MercadoLibre lack transparency in explaining how featured products are ranked on their platforms. The watchdog also highlighted that products from sellers who use the platforms’ own logistics services gain more visibility than those who don’t, raising concerns over fair competition.

The two firms, which together account for over 85% of Mexico’s online sales, could have faced sanctions. However, Cofece said it refrained from imposing remedies due to uncertainty about whether such actions would genuinely benefit consumers and small businesses.

Following Cofece’s preliminary ruling earlier this year, MercadoLibre expressed its willingness to cooperate with the investigation. Amazon, meanwhile, defended its practices, asserting they do not limit competition. After Friday’s decision, Amazon Mexico welcomed the outcome, with deputy general counsel Fernanda Ramo stating it reflects the competitiveness of Mexico’s retail sector and the absence of anticompetitive barriers. MercadoLibre has not yet commented.

E-commerce has surged in Mexico since the pandemic, with more consumers purchasing goods and services online. Small and medium-sized businesses have also increasingly relied on platforms like Amazon and MercadoLibre to expand their reach. The investigation underscores ongoing concerns about digital market dominance, as regulators continue to weigh how platform practices impact competition, visibility, and opportunities for local sellers.